Synospis: Shares of Mahindra & Mahindra Ltd rose over 3% after strong Q4 results, with solid revenue and profit growth. Brokerages remain bullish, citing SUV momentum and growth visibility, despite near-term risks in margins and the tractor segment.
The shares of this company are one of the most diversified automobile companies in India with presence across 2-wheelers, 3-wheelers, PVs, CVs, tractors & earthmovers are in the spotlight after brokerages commentary following its Q4 results.
With a market capitalisation of Rs. 4,16,656 cr, the shares of Mahindra & Mahindra Ltd were trading at Rs. 3350.60 per share, down from its previous close of Rs. 3,370.50 per share.
Q4 Results
It reported strong YoY growth in Mar 2026, with revenue rising 29% to Rs. 54,982 cr from Rs. 42,599 cr. EBITDA increased 28% to Rs. 10,127 cr, while net profit jumped sharply by 48.5% from Rs. 3,542 cr to Rs. 5,260 cr. Earnings per share also grew 42% to Rs. 37.53, reflecting robust operational performance and strong bottom-line expansion.
On a QoQ basis, revenue grew about 5.5% from Rs. 52,100 cr, while EBITDA remained largely flat, slightly lower from Rs. 10,160 cr. Net profit increased modestly by ~5% from Rs. 5,021 cr, whereas EPS remained almost unchanged at Rs. 37.53 from Rs. 37.59, indicating stable profitability with marginal sequential growth.
Brokerage Commentary
Nomura
Nomura has assigned a Buy rating with a target price of Rs. 4,580, upside of 37% from current levels, remains the most bullish on M&M. The brokerage noted that the company’s Q4 performance exceeded expectations across several key metrics.
It expects a strong SUV launch cycle across both ICE and EV segments to drive demand and market share gains. While near-term margin pressures persist, Nomura forecasts SUV volumes to grow by about 14% annually in FY27 and FY28, supported by capacity expansion.
CLSA
CLSA has given an Outperform rating with a target price of Rs. 4,279, upside of 28% from current levels, highlighting M&M’s leadership in the utility vehicle segment with a 25.3% market share.
The firm projects a 17% EBITDA CAGR between FY26 and FY28, driven by a robust product pipeline and improving profitability. However, it remains cautious on the tractor segment due to potential El Niño risks and near-term margin pressures from rising raw material costs.
HSBC
HSBC maintains a Buy rating with a target price of Rs. 4,200, upside of 25% from current levels, expecting continued strong momentum in M&M’s SUV business. It forecasts mid-to-high teens growth in SUVs, while projecting more modest, mid-single-digit growth in the tractor industry for FY27.
The brokerage sees the expanded product pipeline including multiple ICE SUVs, EVs, and light commercial vehicles as a key positive, while flagging monsoon uncertainty and commodity price volatility as risks.
Jefferies
Jefferies has reiterated a Buy rating with a target price of Rs. 4,000, upside of 25% from current levels, despite lowering its valuation slightly. The brokerage highlighted M&M’s consistent execution, marked by 16 consecutive quarters of double-digit EBITDA growth.
Although it has trimmed FY27–FY28 earnings estimates by 3–5% due to concerns around the tractor segment, it still expects a healthy 11% CAGR in core EPS through
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